Hasan then underscored the importance of boosting economic relations between the two countries that should be supported by infrastructure and other facilities, including through the signing of the JTC MoU.
"In the future, I hope this committee can help to discuss increasing trade relations towards a more comprehensive trade agreement, such as a Preferential Trade Agreement (PTA), whose results can be utilized by business people from the two countries," the minister noted in a written statement received here, Monday.
On this occasion, the two parties signed a counter-trade agreement for dates and coffee products. Moreover, an MoU was inked between the Indonesian Chamber of Commerce and Industry (KADIN), business council, and business actors of the two countries, he remarked.
Hasan stated that the cooperation agreement through the counter-trade agreement scheme is one of the effective strategies in the midst of the uncertain global economic situation.
"Through the counter-trade mechanism, the two countries can still carry out mutually beneficial trade transactions while at the same time maintaining each country's foreign exchange reserves that may be affected by the global economic recession," he explained.
He also stated that the total trade between Indonesia and Egypt in 2022 had reached US$1.57 billion, while for the January-March 2023 period, it was valued at US$432.8 million.
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In the last five years, trade between the two countries has shown a positive trend of 11.21 percent. With this trade trend, it is hoped that in the next five years, the total trade between Indonesia and Egypt could reach US$3 billion, he remarked.
According to Hasan, the signing of this counter-trade cooperation comprised a counter-trade contract carried out by PT Indonesian Trading Company (PT PPI), as the Implementing Agency (BP) for counter-trade in Indonesia, with Al Postan for General Import & Export as the BP in counter-trade in Egypt.
"The signing of the counter-trade contract is expected to become an additional driving force for increasing Indonesia's exports to Egypt, which in parallel can increase trade between the two countries," he stated.
The counter-trade contract between PT PPI and Al Postan for General Import & Export resulted in transaction worth US$105 thousand. The products being exchanged are coffee from Indonesia with grapes and/or pomegranates from Egypt, the minister remarked.
In addition, on Monday, PT PPI will sign an MoU with Al Sahl as the BP in Egypt. Moreover, the two parties will further hold discussion on the product to be exchanged and the transaction value.
Hasan noted that Egypt has huge prospects for Indonesian business actors since it is a trade hub for the countries around it.
"The existence of the Suez Canal trade route also plays a role in making Egypt as a gateway to other countries in the Gulf, Africa, and the Middle East region," he remarked.
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Translator: Maria Cicilia Galuh P, Resinta S
Editor: Yuni Arisandy Sinaga
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